If you are in serious debt an IVA could be a solution.
If you have a problem with your unsecured debt, IVA may be the answer.
The IVA debt solution allows a debtor to repay what they can afford to their creditors for a fixed time period, after which they are debt free, even if they haven’t repaid the outstanding debt in full.
IVAs are also based around affordability to the debtor, and great lengths are taken to ensure that the monthly repayments a debtor will be agreeing to pay into their IVA are affordable, not just in the short term, but also for the medium to long term as well.
IVA’s were introduced by and form part of the Insolvency Act of 1986, and they were designed to offer people an alternative solution to bankruptcy.
The benefits of an IVA do not just suit the debtor. The creditors named in an IVA have benefits too.
For instance, the creditors know that the IVA proposal will bear a better comparative return over the bankruptcy of the debtor, otherwise the debtor wouldn’t have proposed it in the first place.
The creditors also have the freedom to vote against the IVA at the creditors meeting, if they feel accepting the IVA is not in their interests.
So IVAs are seen by both sides as being a better alternative to bankruptcy, which is where the overall common ground lies. Both sides get what they want and the deal is done.
Here at My IVA Adviser we specialise in helping people with serious debt problems. read our articles answering topical questions associated with debt issues.
If you are unsure whether your debt level qualifies you for an IVA use our powerful on-line calculator which will asses your suitability for an IVA.
Or if you prefer just call one of our IVA specialist advisers on 0800 088 7503 to discuss your circumstances.
Related Articles: